Array Technologies Inc (NASDAQ:ARRY) Emerges as a Top Minervini Trend Template Candidate

Array Technologies Inc (NASDAQ:ARRY) has become a notable candidate for investors using the Mark Minervini Trend Template combined with high growth momentum screening. This methodology, popularized by the two-time U.S. Investing Champion, focuses on identifying stocks showing strong technical health and solid fundamental growth characteristics. The strategy requires securities to demonstrate clear uptrends across multiple timeframes while also showing accelerating earnings, sales growth, and positive analyst revisions, key indicators that institutional money is flowing into the stock.

Technical Strength and Trend Compliance

Array Technologies satisfies all critical components of Minervini’s Trend Template, reflecting a stock in a confirmed Stage 2 advance. The current price of $8.97 trades well above key moving averages, specifically the 50-day ($7.34), 150-day ($6.54), and 200-day ($6.50) SMAs, with all averages trending upward. This alignment signals sustained bullish momentum across short, intermediate, and long-term horizons. Additionally, the stock is trading 78% above its 52-week low of $3.76 and within 10% of its 52-week high of $9.99, indicating strong recovery and proximity to new highs, both hallmarks of leading stocks. With a relative strength ranking of 85.06, ARRY outperforms the majority of the market, further validating its technical leadership.

Growth Momentum and Fundamental Catalysts

Beyond its technical attributes, Array Technologies displays strong growth dynamics essential for high-growth investors. Recent quarterly earnings growth stands at 25% year-over-year, with revenue surging 41.63% in the same period. The company has beaten EPS estimates in three of the last four quarters by an average of 19.81%, reflecting consistent operational outperformance. Analyst sentiment has turned increasingly bullish, with next-year EPS estimates revised upward by 5.77% over the past three months, and revenue expectations lifted by 7.94%. These revisions often precede institutional accumulation and further price appreciation. Although annual metrics show some volatility due to industry cycles, the sharp acceleration in recent quarters suggests a positive inflection point.

Profitability and Cash Flow Considerations

The company’s profitability metrics reveal a notable recovery, with the latest quarter showing a profit margin of 7.86%, up significantly from 0.76% in the prior quarter. This expansion indicates improved operational efficiency and pricing power. Free cash flow per share remains positive at $0.72, though it has declined year-over-year, a point investors should monitor. The combination of solid quarterly growth, rising margins, and positive analyst revisions aligns with Minervini’s focus on fundamental acceleration as a precursor to major price moves.

Technical Analysis Overview

According to ChartMill’s proprietary analysis, ARRY has a perfect technical rating of 10/10, reflecting exceptional trend strength and market-relative performance. Both short and long-term trends are positive, and the stock is trading near the upper end of its one-month range. However, the setup rating of 3/10 indicates that recent price action has been too volatile for an ideal entry point, suggesting investors might wait for a consolidation period to establish a position with better risk/reward dynamics. Key support levels are identified near $8.64 and $5.79, while resistance lies around $9.09,9.10.

For a detailed technical breakdown, readers can review the full technical analysis report.

Conclusion

Array Technologies represents a strong case of a stock meeting both the technical criteria of the Minervini Trend Template and the fundamental requirements of high-growth momentum investing. Its strong price trend, coupled with accelerating quarterly growth and positive analyst sentiment, positions it as a potential leader in the solar equipment sector. While the current technical setup suggests patience for optimal entry, the underlying strength in both price action and business performance makes ARRY a stock to watch.

For investors seeking similar high-growth, technically sound opportunities, further screening results can be explored using the High Growth Momentum + Trend Template screen.

Disclaimer: This article is for informational and educational purposes only and does not constitute investment advice. Investors should conduct their own research and consider their risk tolerance before making any investment decisions.